Two major automobile manufacturers have produced compact cars with the same size engines.

We are
interested in determining whether or not there is a significant difference in the MPG (miles per gallon) of
the two brands of automobiles. A random sample of eight cars from each manufacturer is selected, and
eight drivers are selected to drive each automobile for a specified distance. The following data show the
results of the test.
Driver
1
2
3
4
5
6
7
8

Manufacturer A
32
27
26
26
25
29
31
25

Manufacturer B
28
22
27
24
24
25
28
27

Test the hypothesis that the population means for the two manufacturers are equal. Report the p-value.

Difference in means test.

Ho: 1 2 = 0
Ha: 1 2 0
x1 27.63
s1 2.72
n1 8
x2 25.63
s1 2.20
n2 8
Test statistic = 1.617
Degrees of freedom = 13
Distributed t13
p-value = (0.065)(2) = 0.13

The results of a recent poll on the preference of shoppers regarding two products are shown below.
Shoppers Favoring
Product
Shoppers Surveyed
This Product
A
800
560
B
900
612
At the 5% significance level, test the hypothesis that the population proportion of shoppers who favor B
exceeds the percentage that favor A.

Difference in proportions test.

Ho: 1 2 = 0
Ha: 1 2 0
p1 = 560/800 = 0.70
p2 = 612/900 = 0.68
Test statistic = 0.891
Distributed standard normal
Critical values = -1.96, 1.96
Fail to reject Ho.

A potential investor conducted a 49 day survey in two theaters in order to determine the difference
between the average daily attendance at North Mall and South Mall Theaters. The North Mall Theater
averaged 720 patrons per day with a variance of 100; while the South Mall Theater averaged 700 patrons
per day with a variance of 96. At the 5% significance level, test the hypothesis that the population average
attendance at the two locations is the same.

Difference in means test.

Ho: 1 2 = 0
Ha: 1 2 0
x1 720
s1 100
n1 49
x2 700
s1 96
n2 49
Test statistic = 1.01
Degrees of freedom = 96
Distributed t96
Critical values = -1.985, 1.985
Fail to reject Ho.

A company has claimed that the standard deviation of the monthly incomes of their employees is less than
or equal to $120. To test their claim, a random sample of 15 employees of the company was taken. The
standard deviation of their incomes was $135. At a 5% level of significance, test the company's claim.

Test for a standard deviation.

Ho: 120
Ha: < 120
s = 135
n = 15
Test statistic = (15-1)(1352)/(1202) = 17.72
Degrees of freedom = 14
Distributed 214
Critical value = 23.685
Fail to reject Ho.
A sample of 16 students showed that the variance in the number of hours they spend studying is 25. At a
5% level of significance, test to see if the variance of the population is significantly different from 30.

Test for a standard deviation.

Ho: 2 = 30
Ha: 2 30
s2 = 25
n = 16
Test statistic = (16-1)(25)/(30) = 12.5
Degrees of freedom = 15
Distributed 215
Critical values = 6.262, 27.488
Fail to reject Ho.
Test scores of two independent samples of students from UA and UB on a national examination are given
below. At a 5% level of significance, test to determine if there is a significant difference in the variances
of the two populations.
UA
82
90
65
83
80

UB
70
80
60
90
75

Test for a difference in standard deviations.

Ho: 2A = 2B
Ha: 2A 2B
s2A = 84.5
nA = 5
s2B = 125
nB = 5
Test statistic = 84.5/125 = 0.676
Degrees of freedom = 4,4
Distributed F4,4
Critical values = 0.104, 9.605
Fail to reject Ho.